On L1 Value Capture from Two Solana Proposals
The article, "Discussing L1 Value Capture Through Two Solana Proposals," by Max Resnick, explores how Layer 1 (L1) blockchain tokens derive their fundamental value, drawing parallels to traditional asset pricing theory.
Resnick argues that L1 token value, like stock value, stems from claims on future income streams for holders, not merely from network activity or technological promise. This value is captured when fees are either burned (economically akin to a buyback) or distributed to stakers (akin to dividends). Inflationary staking rewards, by contrast, redistribute value among holders rather than creating it.
The core challenge is the quality and defensibility of fee-based revenue. High-quality fees come from sustainable, recurring demand for the network's economic utility (e.g., long-term financial activity), not from transient speculation (e.g., meme coins, airdrops). The strength of a blockchain's network effects—liquidity, applications, users—can make its revenue more defensible and grant it greater pricing power than often assumed.
The article proposes a foundational valuation framework for L1s, separating revenue (fees captured for token holders), costs, and total token supply. A key accounting principle is that inflationary rewards should not be counted as a cost unless the newly minted tokens are symmetrically counted as a value input; otherwise, it misrepresents profitability.
Finally, Resnick discusses the economics of increasing protocol fees to boost revenue. Since revenue equals price times quantity, the net effect depends on demand elasticity. Research on Ethereum suggests transaction demand is somewhat elastic; a fee increase reduces volume. A uniform fee is a blunt instrument, as different transactions (e.g., small transfers vs. large settlements) have vastly different abilities to pay. The article suggests that transaction-value-based fees, potentially implemented via token programs, could be a more efficient way to capture value from high-willingness-to-pay activities.
The discussion is framed around ongoing Solana proposals (SIMD-550, SIMD-553) but focuses on the universal principles of L1 value accrual.
marsbitВчора 07:06
